he United States Department of Agriculture (USDA) and Bank of America announced a relending program to provide more than $400 million in long-term, low-cost financing for community development financial institutions (CDFIs) working in impoverished rural communities. The Uplift America Community Facilities Relending Program will facilitate the construction of schools, health care centers, child care facilities and other much-needed services in communities with limited infrastructure development and persistent poverty.
Under the program, 26 community lenders and CDFIs, nonprofit private-sector financial institutions that provide credit and financial services to underserved populations were approved for more than $400 million of USDA funding. Bank of America has guaranteed up to $100 million, removing this extra step for CDFIs to guarantee funding and ensuring that low-cost capital is more easily accessible to rural communities.
“By leveraging the work we do with CDFIs, we’re helping to facilitate the investment of much-needed capital resources in impoverished neighborhoods to build stronger local economies,” said Andrew Plepler, Global Environmental, Social and Governance executive at Bank of America.
Bank of America is the largest investor in CDFIs among major financial institutions, investing more than $1 billion in more than 240 community lender partners across all 50 states, the District of Columbia and Puerto Rico.
Congratulations Bank of America Corporation!